Impact of motivation on employee performance

Entrepreneurship is the tendency of a individual to organize his own backing and run it arrive atably, exploiting the qualities of leadership, decision making, managerial caliber, etc. danger Talking Risk-taking In Its true sense Indicates that find Is Ignored In taking decisions and actions. We should unfeignedly use the word risk averse for the entrepreneurs. Risk averseness implies taking calculated risk and expecting premium for the risk taken. As the risk goes up the expected premium in return as well goes up at a higher(prenominal) rate.Calculated risk means a few things, namely, Determining how much risk virtuoso should take. Risk taking ability of a rich person Is higher than that of a poor person. Still, devil extend toly rich persons In equal situations may non equally perceive the risk in a given opportunity. 0 Risk sound judgement is equally important. 0 Risk mitigation is the final step that a risk-averse person would consider tour taking calculated risk. Ri sk mitigation means taking steps to manage risk. For example, Insurance against non-business Is essential Identify non-business risks and insure them. Sense of demarcation lines In every society people develop sense of limits from pargonnts, friends and roundings. These argon the limits of what we dismiss do and what we cannot, and what we can accomplish and what we cannot. Such sense of limit Is a result of social permissiveness at a given auspicate of time In a society. On one side, developing such(prenominal) sense of limit is desirable because without adhering to social norms a society cannot thing as a civilized society. On the other, the same sense of limit would impose more dont than dos. Entrepreneurs are different. Hem do not remain by the limits recognized by the society or they fight against these limits. CLC venue of control in that respect are two types of people in the world- (I) those who send others and external situations for whatever happens with them, and those who believe that they could have done something better to stay off certain situations that happened with them. The first type of behavior of people is called external locale of control and the second inner locus of control. It Is obvious from the definition that entrepreneurs have Internal locus of control.The sense of Internal locus of control gives tremendous to admit from missures quite an than accepting fate. 0 Control of future Entrepreneurs are always in control of the situation. Their responses to the unfolding situations are more matured rather than kindred reactions. This gives them control everywhere the current period as vigorous as the future. Creators Entrepreneurs create ideas, businesses and fundamental laws. Often they like businesses that are unique compared to the mapping ones. They like challenges and deal with them in a unique or original way.Entrepreneurs are good at startups. Need for strikement We would like to allow one more typical o ver what Hofmann listed and that is entrepreneurs need for achievement. Entrepreneurs do not start business for making money. Money and profits are not his primary goals. Their passion, thus, is to convert their dreams into reality. 0 Ethics This is yet another characteristic that Hofmann did not discuss. Can allthing substitute ethics for a successful person? Can an entrepreneur be unethical and still make long success and attain his need for attainment?A true entrepreneur, since he is not driven by motives of profits but needs to achieve or do something different for getting sense of satisfaction, will wrangle high degree of business ethics. Ethical game is necessary for a long-term player in the business of innovation. Q. 2.. Business be after is a written verbal description of the business. It is comprehensive in nature and comprises enlarge like promoters, existing and proposed intersections and/or serve, know-how and techniques intended to use, among others. A brief desc ription of contents of business picture. Description of venture For an existing business, the enlarge like date of establishment, Journey over time with significant milestones, employee data, sales and profit data over time (if history is too long hence selected period of say, five years tat would be enough), organization structure, operating philosophy, stack and mission statements, and details of enabling factors are important. 0 Operations broadcast Several operations have to be carried out with a assimilate to succeed in providing proceedss and services.The business activity must be all the way broken down into the discreet operations and details must be provided how those operations will be performed given the resources. If the operations plan fail consequently production plan would also automatically fail. 0 ware plan In case of manufacturing activity, the details of applied science and its ministrations, success factors, real as add togetherptions regarding utiliz ation of plant capacity supported with evidences from other businesses, processes, manpower of poppycock and several other details that can have an impact on production would become an essential part of production plan. Organizational plan In the absence of strong organizational backing the most compensable business can also fail measurably. Business operates in a very dynamic environment, whether internal or external. A business organization must develop capability of capturing information regarding the changing external variable that may effect the current business or future opportunities of the business. merchandising plan A business needs to define a food grocery in terms of geographical area or demographic details of potential customers or consumers.Market feasibility report would help in identifying the image of business opportunity, and from that canvass, a businessman has to determine the right segment of food trade wherein he would like to do business. Promotion pla n, distribution network and other marketing policies are useful in evaluating the potential market for the goods and services offered by the business. Financial plan The contents of the business plan are now converted into the pecuniary numbers to present the financial plan.The financial plan gives income statements and balance-sheets for the forgeed period, depreciation instrument, interest payment schedule, working uppercase schedule, disability schedule, cash flow statements, working capital financing schedule and schedule of funds to be raised and serviced. The financial plan also includes calculation of several ratios that are useful in the evaluation of living options. 0 Assessment of risks The production and marketing plans are usually prepared on he most realistic scenario.If actual scenario turns out to be better than anticipated (sales determine is higher, sales quality is higher, expenses are lower, among others), then there is a positive surplus profit. But what i f things do not turn out as good as estimates and cost of project goes up, cost of capital is higher, enough capital is not available, sales price remain low, sales quantity is less, expenses are higher, skilled people are not available, among others. The assessment of down-side impact of risk must be assessed, if not upside reward of risk. Q. 3 Answer..Marketing is a function over which we can have yet an influencing power but hardly any control over the outcome. Therefore, marketing function is very important especially for a new enterprise. The market abridgment is done before a business plan is prepared and it is included in the business plan, I. E. , at the project phase of a proposed business. Market Assessment base, primarily aimed at checking whether there is gap between demand and supply if the product or service that will be offered by the entrepreneur is an existing product with or without modifications.In case of a new product, the market assessment at time is Just an informed evaluation of potential market. Market assessment aims at defining the market that would be most appropriate for the product and that would give strongest opportunity for the long-term growth. This involves matching the product with customer needs. This dodging of defining the market segment for you is derived from customer research and competitive analysis. 0 Impact of Market Dynamics An entrepreneur must understand the market dynamics. Conceptually, demand and supply determine the price.Demand and supply constantly change and, therefore, determine mechanism becomes dynamic, which is called market dynamics. Several factors play a role in affecting supply and demand and thereby, the prices of products. Competitors price, income level, employment level, inflation, production level, government policies and a host of other factors individually and collectively affect the pricing of a product. 0 Achieving Market Acceptance The proof of success is finally in attaining the sale s level at profitable conditions. The essence of it is in achieving market espousal of products and services.Start-ups eave a greater risk in achieving market adoption than the firms already in business. However, for the existing business too market acceptance of a new product is risky. 0 Day-to-Day Operation There are several aspects of day-to-day operations. Procurement, storage, production, transportation, inventory holding, sales, collections, maintenance, man-management and several other functions unitedly can make operations possible. In todays world, management of information technology is also a matter of daily operations. However, we will discuss only two important aspects of day to- day operations here.They are namely, (I) procurance of material-inventory and (it) use of information technology. Strategies for Growth The issue of growth is strategic in nature, therefore, it involve strategic thinking, and hence, application of SOOT analysis. A SOOT analysis model must s uit the need for answering a finicky question, which is related to either direction of growth or rate of growth or strategy for growth. Strategic models are described and their applications are explained in each of these fields of strategic decisions in the following sections of this unit.Growth Direction finding Synergy is the measure of an effect on the net benefits of combining more than one activity. Synergy is said to exist when the whole is greater than the sum of the parts. The presence of some strength and its best fit with available opportunities are essential for creating a positive synergism. For the growth direction issue the synergy is searched in the areas of product and market. A SOOT analysis on these two parameters can give a quick idea about the observe creating growth alternatives.